NEW ULM (MN)
Jan. 3, 2020
By Clay Schuldt
Survivors from the clergy sexual abuse are a step closer to receiving compensation from the New Ulm Diocese.
On Dec. 20, the U.S. bankruptcy court approved the disclosure statement and joint Chapter 11 plan of reorganization filed by the Diocese of New Ulm and the Committee of Unsecured Creditors.
The reorganization plan provides the means for settling and paying all claims against the diocese related to sexual abuse and misconduct by establishing a trust.
This trust will be funded by contributions from the diocese, parishes and settling insurers. The trustee will liquidate the trust assets and fairly distribute the proceeds to the survivors.
In May 2013, the Minnesota Legislature enacted the Minnesota Child Victims’ Act (CVA). CVA altered, expanded and eliminated certain statutes of limitation to civil cases involving sexual abuse. The CVA allowed victims who were sexually abused when they were younger than 18 to bring a civil lawsuit for damages regardless of how long ago the abuse occurred.
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